Taxpayer groups say Californians need an alternative to new tax proposals… So they’re filing an initiative for the November, 2012 ballot that would cap state spending.

Anti-tax groups are pushing for a constitutional amendment that
would limit state spending. Their measure would also
prioritize the spending of future revenues above the cap. Jon
Coupal with the Howard Jarvis Taxpayers Association says debt
reduction must come first.

"We have provided that a substantial portion of excess
revenue, when that revenue is produced, it's going to be a few
years down the road, but it will go into debt reduction, which
makes a lot of economic sense."

Any extra money would then be divided among schools and a state
reserve fund. Beyond that excess revenues would be returned
to taxpayers.

The proposal comes the same week that Governor Jerry Brown
announced a measure to increase the state sales tax and raise taxes
on the wealthy.